7 Tech Stocks to Buy Now That Have a Higher Dividend Yield Than the S&P 500

Interest rates have risen the fastest in the past year since the 1980s, and investing seems to be getting increasingly complicated, as much of the trading on Wall Street is computer-driven by algorithms. So what should growth investors who are more aggressive consider doing as we get ready to close out the first quarter? One terrific idea is to look for the top technology companies that pay a higher dividend than the S&P 500 itself.

Technology has been in a white-hot spotlight over the past six months as layoffs have been massive. Amazon alone is laying off close to 20,000 employees. Does that mean the industry is doomed? Not at all. The huge belt-tightening is due to the overhiring and growth spurt that was a product of the COVID-19 pandemic. Now, to increase earnings, big tech is cutting costs.

We screened our 24/7 Wall St. technology research universe looking for stocks that are Buy rated on Wall Street and come with larger dividends than the S&P 500 average, which currently stands at 1.7%, a 15-year low. Seven top stocks hit our screening process, and all make sense for long-term growth investors looking for tech ideas with solid dividends that can help to enhance the total return potential.

It is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.


Investors who are more conservative may want to consider this mega-cap tech leader, which recently posted outstanding quarterly results. Cisco Systems Inc. (NASDAQ: CSCO) designs, manufactures and sells internet protocol (IP) based networking products and services related to the communications and information technology industry worldwide.

Cisco provides switching products, including fixed-configuration and modular switches, and storage products that provide connectivity to end users, workstations, IP phones, wireless access points and servers, as well as next-generation network routing products that interconnect public and private wireline and mobile networks for mobile, data, voice and video applications.

Its cybersecurity products give clients the scope, scale and capabilities to keep up with the complexity and volume of threats. Putting security above everything helps corporations innovate while keeping their assets safe.

The networking giant recently posted solid quarterly results that beat earnings expectations, and it offered up strong forward guidance.

Shareholders receive a 3.14% dividend. The Credit Suisse target price on Cisco Systems stock is $69, while the consensus target is lower at $57.55. Shares opened at $50.32 on Tuesday.


This company continues to be a huge player in the fiber optic world. Corning Inc. (NYSE: GLW) is a technology pioneer that manufactures LCD glass for flat-panel displays for multiple product lines.

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